Finance Formulas / July 6, 2018 / Alyvia French
The topic of business valuation is frequently discussed in corporate finance. Business valuation is typically conducted when a company is looking to sell all or a portion of its operations or looking to merge with or acquire another company. The valuation of a business is the process of determining the current worth of a business, using objective measures, and evaluating all aspects of the business.
EBITDA margin differs from the operating margin, which excludes depreciation and amortization from the profitability measure. Other variations of a firm's profit margin include gross profit margin, net profit margin and after-tax profit margin. For more on the differences between EBITDA margin and other profitability margins.
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